Effort to recover bonuses from soldiers sparks fury

Associated Press

Published
6:09 pm PDT, Monday, October 24, 2016

Members of Congress from both parties and national veterans leaders called Monday called for federal action to absolve the debts of nearly 10,000 California soldiers who have been ordered by the Pentagon to repay enlistment bonuses a decade after they signed up to serve in Iraq and Afghanistan.

Democratic presidential nominee Hillary Clinton also said she was appalled by what she described as a mistreatment of veterans and called for legislation.

Maj. Gen. Matthew Beevers said the California National Guard is working with members of Congress to reintroduce legislation that, if approved, would order the National Guard Bureau to clear the debts of soldiers who were wrongly told they were eligible for bonuses of $15,000 or more. It’s not clear the total amount given out in bonuses, but $22 million has been recovered so far, the Los Angeles Times reported.

“This is how you destroy all faith in a Pentagon that is supposed to have your back,” Brian Duffy, head of the national service organization Veterans of Foreign Wars, said in a statement. “Instead of seeking repayment, the Pentagon owes them a debt of thanks and an apology.”

The Guard offered bonuses of $15,000 or more and student loan aid, to re-enlist at the height of the two wars in the 2000s.

The Pentagon demanded the money back after audits revealed overpayments by the California Guard under pressure to fill ranks and hit enlistment goals. If soldiers refuse, they could face interest charges, wage garnishments and tax liens, the Los Angeles Times reported .

Soldiers told the Times they feel betrayed by having to repay the money. They can apply for a federal review of their debt, but that appeals process does not guarantee it will be waived.

“Our military heroes should not shoulder the burden of military recruiters’ faults from over a decade ago,” McCarthy said. He said the House would investigate the reports.

Pelosi called for a “legislative fix as soon as we gavel back into session.”

“We take doing right by our service members very seriously, and the senior leadership of this department is looking very closely at this matter,” Davis said.

A federal investigation in 2010 found thousands of bonuses and student loan payments were improperly doled out to California Guard soldiers. About 9,700 current and retired soldiers received notices to repay some or all of their bonuses, the Times reported.

Four people were convicted of fraud over the improper bonuses.

California Guard’s former Bonus and Incentive Manager, Army Master Sgt. Toni Jaffe, pleaded guilty to fraud for misappropriating funds and was sentenced to 30 months in prison in 2012. Jaffe gave out $15.2 million in bonuses and loan repayments that she knew soldiers were ineligible to receive, federal prosecutors said at the time.

Three additional officers pleaded guilty to the fraud.

Beevers said the California Guard fired one general and two colonels. The Guard punished more than 100 other soldiers.